The Third Wave Of The Middle Class
Speaking out in favour of retail FDI, Nandan Nilekani writes:
Over a decade ago, we did some far-reaching things that put the sparkle back in the eyes of our educated urban youngsters. What right do we have to deny to the millions of kids growing up today, the same opportunity in our fields, factories and stores? The only way not to let them down is to create the supply chain pipes that will connect our farms and factories to the consumers of the world. For that we need 100 per cent foreign direct investment in the Indian retail sector. There is not a minute to lose.
Read his full piece. Good stuff.
thanks for the link. mr.nilekani’s optimism on fdi in retail trade meeting all acceptance standards seems to ignore the tremendous inventiveness of the left in thinking up roadblocks. well, anyway,
i’m glad that one of our brightest entrepreneurs has managed to bring such clarity to the issue. we should be thankful to him for pointing out the next roadmap.
Comment by kuffir — September 2, 2005 @ 1:00 am
This article is an example of “Let’s launch the rockets! (They may land where we intended)”
How could we be more unscientific in defining future policy? Mind you I have nothing
in principle against lowering barriers to entry, but let’s not nod our heads waiting for the
next reason. More of the same:
How is the Indian retail sector connected to exports going to the “consumers of the world”?
Also, in playing devil’s advocate, why 100%, why won’t a majority do?
Comment by axe — September 2, 2005 @ 8:47 pm
Wal-Mart might be more willing to server as an export conduit for Indian manufacturers if it is given a piece of the the Indian retail market.
Comment by Walker — September 2, 2005 @ 11:57 pm
axe: we have to launch the rockets because we don’t need them at home. in fact we have to launch them all because i don’t think we have the option now of thinking through(in our ponderingly indian fashion) where to land them. they seem to clutter the little mindspace we exercise in making what we call ‘policy’. the agenda should be not to make any.
Comment by kuffir — September 3, 2005 @ 4:03 am
Agree with Nilekani’s broad theses
a) India’s retail sector offers tremendous scope for improvement
b) Foreign investment will be a catalyst therein
c) This will bring about some much-needed changes in agriculture and the retail/ food supply chain
However, the article is poorly written and organized. Reads like one of those puff pieces that the chest-thumping triumphalist desis bring out, touting India’s emergence as a knowledge superpower (sic). As axe noted above, it’s got non-sequiturs galore. The 100% FDI issue only comes up in the last sentence, and doesn’t seem to have any relevance to the rest of the article. A bit of a googly there. And why on earth is 100% FDI essential — won’t a majority suffice?
These may be quibbles — as I said earlier, agree with Nilekani’s broad points. Still, think his arguments can be a lot tighter.
Comment by Prashant Kothari — September 4, 2005 @ 12:21 am
axe - in case you are looking for something that does meet your strict standards, I suggest you look elsewhere and not to the Indian Economy Blog or Indian Express.
Nandan is not an econmist and is writing an article to put forward an opiion in what is aptly titled op-ed. If you have disagreements, air them. But if you are accusing Nandan of having an opinion in an op-ed column, the joke is on you.
Comment by Nilu — September 10, 2005 @ 12:47 pm